Budget Reactions from Business Leaders Across Industries | #1

Union Budget 2022 session is ongoing and already we have heard some path breaking initiatives announced. Focus on telecom, infrastructure, education and various industries are in place. And our business leaders from different industries are quick enough to share their thoughts on this and here they are.

Saurabh Raj, CEO, Skyland Group

It is a welcome move by the government, meeting the expectations of the hospitality and tourism sectors in this year’s budget. Increasing credit guarantee trust for small and micro enterprises is the need of the hour as hospitality is the most affected sector due to Covid-19, credit of Rs 2 lakh crore will help the MSME sector.

The extension of ECLG from March FY22 to March 2023 is a boon for all of us as it’ll help businesses to grow. The unprecedented damage the pandemic has done to all will need government support for the next 4-to 5 years to fully recover. This will encourage the hospitality industry and boost the sales increase in the hotel industry, getting things back on track.

Mohammad Athar, Partner and Leader – Industrial Development, PwC India

The Government’s focus on sustainable and alternative mobility for hilly terrains is a welcome move. The Parvat Mala announcement with 8 ropeway projects in 2022–23 will not only diffuse transport linked congestion in hilly areas but also enable growth of tourism in these locations. Our ability to bring global capabilities in operating and developing ropeway systems will be critical for the success of the programme in the short term and help build capabilities within the country in the long term.

Aditya Chamaria, MD, Damodar Ropeways & Infra Limited

We are excited that the Government has taken note of the importance of Ropeways in commuting and promoting tourism. The announcement of the National Ropeway Programme, where 8 projects will be taken up on PPP basis, will help the acceptance of the ropeway as a necessary, eco-friendly mode of transport. The Government’s focus on ropeways in congested cities where conventional modes of transport would not work, speaks volumes about the government’s futuristic planning for the country. The Budget’s focus on improving connectivity, especially through sustainable modes of transport such as ropeways, will take India on a path of growth, help in increasing tourism and lead to innovation in the cable car industry.

Vikas Singhania, CEO, TradeSmart

Road construction given a boost by increasing the target to 25,000 kms of National Highways construction. Comparing this to the current construction of around 13,000 kms the target is almost double than the current level. Also, bringing all key transport ministries under the Gati Shakti plan is a positive step for the logistics sector.

Chandan Garg, Chairman & MD, Innovana Group

The extension of ECLGS scheme is a welcome move for MSMEs. The credit and fiscal support of 5 lakh crores will give a huge boost to this sector encouraging new businesses to come to the fore. This announcement will certainly generate more than 10 lac of employment opportunities in a short span of time. However, a slight focus on easing the trade and the taxation policies for MSMEs facilitating more freedom to do business was also expected from this year’s budget announcement.

Siddharth Maurya, Resource Specialist, Fund Management

The budget session has taken some prudent initiatives for MSMEs and India INC. for start-ups the tax concession period has been extended by one more year, which in my opinion is a very positive move. Likewise, a 15% tax has been decided for the newly incorporated manufacturing unit. The period of incorporation has been increased by one more year to 31-3-2024. This will further boost manufacturing activities.

Keep watching this space for more updates!